Memorandum

City of Lawrence

Utilities Department

TO:	David L. Corliss, City Manager Cynthia Boecker, Assistant City Manager Diane Stoddard, Assistant City Manager
FROM:	Philip Ciesielski, Assistant Director of Utilities
CC:	Dave Wagner, Director of Utilities, Mike Lawless, Assistant Director of Utilities Beth Krishtalka, Management Analyst
DATE:	December 8, 2008
RE:	December 16, 2008 Agenda Item

Please include the following item on the City Commission consent agenda for consideration at the December 16, 2008 meeting:

Reimburse HDD of Lawrence, 732 - 734 Massachusetts, for fire sprinkler system installation in the amount of $39,581.25.

Program History. The City Commission, at its June 6, 2006 meeting authorized a tap incentive to downtown building and business owners on Massachusetts Street. In order to provide further incentive to downtown building and business owners, the City Commission allocated $250,000 in the 2007 and 2008 budgets to fund an incentive program that would reimburse property owners up to 75% of the cost of installing full sprinkler systems in selected downtown buildings. The properties for the 2007/2008 program were approved by the City Commission on April 10, 2007.

Program Status: To date, seven of the approved downtown properties (including two in this memo) have taken advantage of the incentives, and have been reimbursed a total of $194,268.40 as part of the program.

732 - 734 Massachusetts Status. Per the City Commission’s Ferbruary 12, 2008 approval the buildings at 732 and 734 Massachusetts were added to the list of approved incentive recipients for the Downtown Sprinkler Incentive Program. The properties had received authorization under the Downtown Sprinkler Program at 75% reimbursement to a maximum expenditure of $35,000 per structure. The sprinkler system has been installed in 732 - 734 Massachusetts in compliance with NFPA-13 and City of Lawrence standards. A summary of the installation costs is attached.

Project Funding. The program is funded by the non-bonded water construction account of the Utilities Department.

Action Request. Staff recommends approval to reimburse HDD of Lawrence for fire sprinkler system installation in the amount $39,581.25 for 732 and 734 Massachusetts as part of the Downtown Sprinkler Program.